Manufacturers, firearms enthusiasts, gun owners, competitors, sportsmen, and outdoorsmen and women are aware of the current and sudden drop in ammunition prices, and they realize and understand that the departure of the Obama administration has created the expected turn in current ammunition prices.
Now that a downturn has occurred with ammunition prices under Donald Trump, others not as familiar with weapons and ammunition sales want to know what has caused the major changes in ammunition prices.
The drop in ammunition prices has several related reasons, one of which was stimulated through the promises made by Donald Trump and the Republican Congress to expand gun rights. The sense of urgency instilled within gun owners to go out and quickly stockpile ammunition was diminished with the election of Mr. Trump.
The Obama years were fraught with fears of bans and limitations on ammunition, and soon ammo, guns, rifles and shotguns were disappearing from the shelves in spite of outlandish costs and scarcity, which tripled the price of ammunition.
There was always the looming threat of new and more strenuous gun control measures with bans on semi-autos and high-capacity magazines as well as background check tightening, FBI checks, registration and gun banning, all of which galvanized gun owners to quickly buy guns and ammo for themselves and extended family, no matter the escalating prices. None of this kept Americans away from guns and ammo and their right to defend themselves, their families and their property.
Other issues that surrounded the sharp increases in ammunition prices during the Obama years were due to the fact that the government itself was buying up ammunition left and right in major calibers, in bulk, to supply federal agencies. This action put extreme pressure on ammunition manufacturers to deal with the endless demand from the government and gun owners.
The much-anticipated outcome of the General Election of 2016 brought a sense of relief to many gun owners and now almost all ammunition supplies have fallen back to more normal price levels. Suppliers, gun stores, sporting good stores, and discount retailers, like Walmart, now have adequate supplies on the shelves, and price gouging and scarcity are somewhat a thing of the recent past.
Other effects that have caused ammunition prices to dip are related to the lower value of ammunition company stocks that plummeted after the election. With the lower demand for ammunition products, ammunition manufacturers have had to take the hit on their stocks, which has contributed to lower ammo prices. Wunderlich, an equity firm, reported that Savage firearms ammunition lines have fallen by 50 percent since January.
If firearms enthusiasts like the lower prices of ammunition, they may just want to think about investing right about now in lower priced ammunition stocks as these stocks and other gun industry stocks may well increase in value over the coming months and years.
Continuing influential factors will keep ammunition prices where they are now as they have decreased by about 15 percent and in certain areas of the country, they have dropped even lower. This is always favorable news for gun owners and creates a positive outlook, though ammunition prices can increase again if there are any major or even minor conflicts and disruptions within and outside of the United States.
Anti-gun politicians will also continue to keep their sights on gun and ammunition legislative measures, particularly in states that have upcoming initiatives, which will shatter the nerves of gun owners with likely increases in ammunition within their states.
In spite of any fluctuations in ammunition prices, Larry Keane, senior vice president and general counsel of the National Shooting Sports Foundation, a gun industry group, said: “our industry will continue to grow” but in a “more normalized market with a more stable political environment.
With these more stable thoughts in mind, gun owners can rest somewhat assured concerning their ammunition needs. Ammunition manufacturers will keep producing the products firearms enthusiasts require at more stable prices and will inhibit the federal government from denying citizens their rightful access and a fair share of ammunition. Prices may fluctuate but gun owners will continue to purchase ammunition to remain on the safe side, whatever the current pricing situation happens to be.